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Incentives to boost birth rate to cost Turkey $400 mln
  15.02.2015


The cost of a recently announced reform aimed at increasing Turkeyĺs birth rate will cost approximately $400 million, Finance Minister Mehmet Ůim■ek said on Monday.



 


Last Thursday, Turkish Prime Minister Ahmet Davuto­lu announced new incentives for working women.

For instance, new mothers will be paid 300 Turkish lira ($130) for a first child, 400 Turkish lira ($174) for second child and 600 ($261) Turkish lira for the third one, according to new regulation.

In a television interview, Ůim■ek said that one of most vital problems ahead of Turkey was the aging of the population.

"Turkeyĺs population will age at a fast pace if we do not take measures. I think this reform is meaningful and its cost of $404 million is very small in the budget.ö Ůim■ek said.

Ůim■ek said that the Program on Protection of Family and Dynamic Population Structure is a part of a much larger reform program, which consists of 1,300 reforms. All costs and possible effects related to the regulations have been calculated in advance, he added.

ôOur budget is very strong at the moment. Budget deficit to GDP ratio in emerging economies is 2.1 percent while it is only 0.8 percent in Turkey,ö Ůim■ek said.

Regarding Turkeyĺs inflation outlook, Ůimsek said the current price of oil would certainly help lower it.

ôIf prices stay at $50-60 per barrel, inflation can hit even below 5 percent supposing all other factors remain same,ö Ůim■ek said.
  
  

Source :
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